WHS works marvelously, in my experience, in backing up client PC's and restoring them. What I'm worried about is what happens when the primary hard drive on the server fails.
As I understand it, the recovery process is that you replace the failed hard drive, do a server reinstallation, and WHS will rebuild your tombstones and restore your data, as long as everything is duplicated (anything non-duplicated that lived on the primary would be gone).
But what if you don't have a spare hard drive lying around to replace your failed one? I imagine most folks won't -- indeed, with the elegant way WHS handles additional hard drives, I imagine most folks will be tempted to add any spare HD's to the WHS pool. What I think that means is that server reinstall will frequently mean formatting a drive that was formerly part of the pool in order to make a new primary drive. And this means losing data, unless you go through a tedious process of installing the drive first into another PC and backing up any data on there.
But here's an idea. When you add a second hard drive to the WHS pool, WHS should format the drive and create two partitions -- a data partition and an empty 20GB partition. If the primary fails, you simply install WHS into the empty partition and you're back up and running without formatting a whole drive or losing data.